Financing$$ Start working there Gold Properties FREEPORT RESOURCES INC. ANNOUNCES NON-BROKERED PRIVATE PLACEMENT
Freeport Resources Inc. has arranged a non-brokered private placement financing of up to $150,000 through issuance of up to three million units of the company at a price of five cents per unit. Each unit will consist of one common share and one non-transferable share purchase warrant. Each warrant shall be exercisable to acquire one additional common share for a period of five years at an exercise price of 10 cents. As part of this non-brokered financing, the warrants are subject to an acceleration clause. This clause states that if, after the warrants are issued, the closing price of the common shares of the company on the principal market on which such shares trade is equal to, or exceeds, 15 cents for 10 consecutive days, the warrant expiry date shall accelerate to a date 10 calendar days after the issuance of a news release by the company announcing that reduced warrant term. All units acquired pursuant to the private placement and shares which may be acquired upon the exercise of the warrants are subject to a four-month hold period in accordance with applicable securities legislation.
Finders' fees may be paid to eligible finders in accordance with the TSX Venture Exchange policies. All securities issued pursuant to the private placement will be subject to a four-month hold period under applicable securities laws in Canada. The private placement and payment of finders' fees are both subject to approval by the TSX Venture Exchange.
Net proceeds of the financing will be used for general working capital, and advancing the company's gold and other mineral projects in Canada.